Paying Your Child’s College Tuition
Not that you asked, but here is my hybrid approach
Some parents (and their kids) are in a fortunate position to fund 100% of college costs. Some are in a position to fund zero. In my case, I could fund most costs, and perhaps all costs (depending on the college), but chose to place a cap on what I fund.
This is not particularly a unique approach. I am showcasing this to give some perspective on the approach and results.
Background
posted on why paying for your child’s college costs might not be positive. It is a good read and gives context to what can happen when kids get everything handed to them (such as full-ride college costs).She touches on the theme of just because we can, it does not mean we should.
This is not a competition with Tabitha! This is a different perspective. Reading different perspectives gives us the ability to make the best-informed decision for ourselves. You be you.
Tabitha’s article:
Notes: For context, I am Gen-X and attended a community college for one year, and then exited as I did not want to spend money on an education with no goal. I do not disfavor college, but I do not believe it is for everyone.
Scholarship Approach
scholarship, noun: a grant or payment made to support a student’s education, awarded on the basis of academic or other achievement.
I have three children, two in the Millennial cohort, and one Gen-Z. I saved $20,000 for each of them for higher education. I could have saved more, but my goal was not to fund their entire post-high school education.
My goal was to find a dollar amount that would entice them to attend college, without giving a complete hand-out. Plus, I want them to have personal agency and responsibility for their goals (college or otherwise).
Each received $20,000 toward their post-secondary education. It was presented as a scholarship, and it was for educational pursuit. Education could be for college, vocational school, or classes at non-traditional schools, such as a writing annex or music lessons.
The general scholarship rules:
- The scholarship money is not theirs. Any money left over at the end of six years is mine.
- They are responsible for any money needed beyond the $20,000.
- The maximum per year is $5,000, so they needed to learn to budget.
- Need to use within six years of high school, unless there is a reason to defer (e.g., military service, medical)
The six years time frame and the $20,000 are largely arbitrary. I was looking for something time-bound (to keep the momentum from high school) plus a dollar amount that would help, while not being a complete hand-out.
Results
The oldest attended one of the most expensive schools in the U.S., typically being ranked one of the Top 10 most expensive. It was their top choice, and because of that, they worked hard to make it happen. Hard-working is relative, but it included:
- part-time work since their sophomore year of high school
- submitting 30ish academic scholarship applications, some were submitted each year
- an office job during the collegiate academic year (20–25 hours per week) at the college, which helped reduce some college costs
- paid internships during the summer
- working as an online tutor throughout the year
Scholarships covered more than 70% of the college tuition. Finished in four years, no college loans.
The middle child attended a public college out of state and it was their first choice as well.
Paid summer internships covered the majority of the college costs, but they also worked during the school year mowing lawns and digging graves at a cemetery. They had one academic scholarship, which covered about 15% of the overall tuition per year.
Finished in four years, with college loans. College loans were paid off within two years of graduation as they made it a priority once employed.
The youngest took a more aggressive educational route.
During high school, they took courses at the local community college, both in the summer and during the academic year. Heading into college, they needed only three years of courses.
At college, they enrolled in extra classes (i.e., a heavy class load) and are on track to complete college in five semesters, thus, further reducing the overall costs.
To help fund college, they completely lucked out with their roommate who lived close to the college. That roommate’s parents hired my youngest at their dispensary and overpaid at that. It didn’t cover all of the college expenses but certainly helped.
Looking to finish within 2.5 years in total, and with loans equivalent to two years of college. To help with those loans, my youngest is looking to keep working at the dispensary post-college, and even live at the dispensary owner’s home rent-free until graduate school starts. Like I said, lucky.
Wrap-up
The idea that college degree = opportunities are not lost on me, so I did entice my kids with partial college funding. As I want them to invest in themselves, I was not looking to cover their entire costs. Independence and Responsibility are two cornerstones of my parenting style, and having them pay a portion of their post-secondary education plays into those tenets.
Was it successful?
My goal was to find a dollar amount that would entice them to attend college, without giving a complete hand-out. Plus, I want them to have personal agency and responsibility in their goals.
They did attend college. It might have been the scholarship I offered, but there were other considerations (interested in learning, friends going to college, not sure what else to do).
They did have personal agency in where to attend college and how to fund it, plus they took responsibility for obtaining their educational goals.
I would call it a success.
Would they call it a success? From oldest to youngest, their verbose response to that question:
- “It was so tiring, but in a weird way it helped me stay focused. It also helps me be more empathetic to others who had similar experiences.” (English Literature major)
- “I didn’t like each internship or giving up the summers. I did network and am now making good money because of the people I met at my last internship. Overall it was good-not-great. I assume you spending less on my college leaves more for any inheritance!” (Business Economics major)
- “Does it matter!” (Philosophy major, with apparently a minor in snark)
Best wishes on whatever path you take.
I wrote a four-part article on College Costs and Loans, with a proposed framework of an Education Allotment per person. While I believe it has merit (obviously), I welcome any feedback.
